The wealthy continued their buying spree of luxury homes in the second quarter, but there are signs that prices may be nearing a top.
The CNBC Luxury Real Estate Report, compiled by RedFin, found that sales of homes priced at $1 million or more increased 14 percent over the same quarter a year ago to 24,064 homes. Sales of homes priced at $5 million or more jumped 20 percent to 584. (The report tracks sales in major metro areas measured by RedFin, but not New York City).
Still, prices for luxury real estate seem to be getting a bit rich, even for the rich. Prices for million-dollar-plus homes were flat, and prices for homes priced at $5 million or more fell 1.2 percent. The decline marks the second-straight quarter of price drops.